Republic of Palau [fr]

Introduction

The main objective of our action is to maintain the link with this small island state and foster its relations with the French communities in the Pacific, particularly New Caledonia.

President Remengesau, visited Paris for COP 21 (November 30, 2015). He had already visited France on June 8 and 9, 2015 for UNESCO’s “Oceans Day” and a symposium organized by the Senate’s France-Vanuatu / Pacific Islands friendship group.

Projects in the fields of vocational training and cultural development (translation of a book on the Palauan language) were financed by the Pacific Fund. Other sectors have benefited from French support, in partnership with our three Pacific communities (New Caledonia, French Polynesia and Wallis and Futuna):

 renewable energies (installation of solar panels and technical training in the maintenance of photovoltaic systems) ;
 environmental conservation: project to safeguard biodiversity and endangered species (dugongs); Coral for the Pacific initiatives (CRISP) to protect coral reefs.

The Ambassador of France in Manila is accredited to the Republic of Palau. France has an Honorary Consul in Melekeok.

General information

Official name: Republic of Palau
Form of government: Presidential parliamentary democracy
Head of state: Mr. Thomas Efang Remengesau re-elected in November 2016.

Geographic information

Area: 458 km² (340 islands)
Capital: Melekeok (since 2006)
Main cities: Koror, Meyuns
Official language(s): Palau, Sonsoral, Tobi, Angaur and English
Common language(s): Palauese (64.7%), Tagalog (13.5%), English (9.4%), Chinese (5.7%)
Currency: US dollar
National holiday: October 1

Demgraphics

Population: 21,291 (World Bank, 2015)
Density: 46 inhabitants/km².
Population growth: 0.9% (World Bank, 2015)
Life expectancy: 69 years (World Bank, 2015)
Literacy rate: 92
Religion(s): Catholics (41.6%), Protestants (23.3%) including Adventists (5.3%)
Human Development Index (2015): 0.780 (60th worldwide)

Economic data

GDP: 287.4 M USD (World Bank, 2015)
GDP per capita (2015): 13,498 USD (World Bank)
Growth rate: 9.4% (World Bank 2015)
Unemployment rate (ILO) (2005): estimated at 4.2%.
Inflation rate: 4.7% (World Bank 2015)
Imports: 206.93 million USD (World Bank 2015)
Exports: 179.62 million USD (World Bank 2015)
Main customers and suppliers: Japan, USA, Republic of Korea, Taiwan

Share of main business sectors in GDP (2014):
 services: 87.2%
 industry: 8.7%
 agriculture: 4.1% of GDP

Domestic policy

The institutions of the Republic of Palau, which comprises 16 federated states and 13 geographical districts, are closely modelled on those of the United States, with a presidential system of government.

The President of Palau, elected for a 4-year term, is head of state and government. Elections are traditionally held on the same day as American elections. Legislative power is represented by the National Congress, composed of two chambers, the House of Representatives (16 seats, one per state) and the Senate (9 seats). Congress controls the national budget and approves appointments. In the absence of structured political parties, factional alliances form fluctuating majorities in the Senate.

At the same time, a 16-member Council of Chiefs advises the President on matters of custom and tradition. Within each state, traditional chiefs exercise significant control over land ownership. In addition, a powerful matrilineal tradition, which ensures that women have the upper hand in land ownership, enables them to play a major role in Palauan society.

Relations with the United States remain a key issue in domestic politics, particularly the maintenance of US funding under the Compact of Free Association. This is a major concern for the government, along with environmental and fisheries issues.

The presidential elections of November 6, 2012 were won by Mr. Thomas Efang Remengesau with over 58% of the vote in the run-off against 41% for his predecessor, Mr. Johnson Toribiong. He was re-elected to office on November 10, 2016, beating Senator Surangel Whipps Junior, his brother-in-law.

Mr. Remengesau, who previously held the position from 2001 to 2009, continues to pursue a policy aimed at reducing Palau’s dependence on US aid and developing the tourism sector.

Economic situation

The Palau archipelago boasts one of the highest standards of living in the Pacific. Fishing and shellfish farming remain the main development sectors. The fishing industry has benefited from bilateral agreements with Japan, Taiwan and the Philippines. The tourism sector is also important and booming, thanks to Chinese, Japanese, Taiwanese, Korean and American visitors (139,000 in 2014).

Nevertheless, the authorities continue to face many challenges: Palau still relies heavily on international aid and receives several hundred million dollars in aid under the free trade agreement with the USA.

Foreign policy

The relationship with the United States remains fundamental. The “Palau Compact of Free Association” provides for the American authorities to take charge of Palau’s defense and security. Entering into force on October 1, 1994 for a period of 50 years, the Compact also provided for financial assistance of US$450 million over 15 years, or 60% of annual foreign aid.

Under this funding, which came to an end in 2009, Palau received USD 800 million in aid over 15 years through a wide range of federal programs. Direct U.S. aid is now provided by a dedicated fund which, according to the State Department, amounted to around US$160 million at the end of 2010. For the period 2011-2024, the amount of US aid is expected to rise to 215 M USD, with a gradual reduction in the sums disbursed. In return, the United States has exclusive and unlimited use of Palau’s territory and territorial waters.

Taiwan (recognized by Palau), Japan and Korea are the country’s other major economic partners and donors. The visit of the Emperor and Empress of Japan to Palau in April 2015, to mark the 70th anniversary of the end of the Second World War, was the first visit by a Japanese emperor to the country.

Relations with the European Union have strengthened since Palau was admitted to the ACP category in 2000. Under the 10th European Development Fund (2008-2013), aid to the Republic of Palau totaled 3.2 million euros. The country is set to receive 1.6 million euros under the 11th EDF (2014-2020), with priority given to renewable energies and civil society.

The Republic of Palau is at the origin of the “Micronesia Challenge”, a natural resource protection program signed in 2006 by the Federated States of Micronesia, the Republic of the Marshall Islands, Guam and the Northern Marianas, which aims to ensure the protection of at least 30% of near-shore marine resources and 20% of terrestrial resources. Palau created a shark sanctuary in 2009, and at the end of October 2015 established a new marine sanctuary the size of California, the sixth largest area in the world to be entirely protected from fishing or drilling.

The Lagoon (South) of the Chelbacheb Islands (Rock Islands) was designated a UNESCO World Heritage Site in early July 2012. This site comprises 445 uninhabited limestone islets of volcanic origin and represents the world’s largest concentration of marine lakes.

The Republic of Palau hosted the 45th Pacific Islands Forum (PIF) Summit and 26th Post-Forum Dialogue in Koror from July 29 to August 1, 2014. On this occasion, the “Ocean Declaration” was adopted by PIF members.

The USA, Japan and Taiwan have diplomatic representation in Koror.

Source : https://www.diplomatie.gouv.fr/fr/dossiers-pays/republique-des-palaos/article/donnees-generales